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John Straub's Blog

By John Straub | Agent in Fort Worth, TX
  • New Home Builders in DFW Part 10, Negotiating

    Posted Under: Home Buying in 76148, Property Q&A in 76148, Moving in 76148  |  October 16, 2012 1:27 PM  |  264 views  |  No comments

    Negotiation

    New Home Builders in DFW, Tip #10
    When you negotiate a contract with new home builders in DFW, remember that all concessions that you are receiving effect the bottom line, but not all of them effect it equally.

    Congratulations, you are reading this and that means that you are very serious about buying a new home!Below you will find information to help you negotiate with new home builders in DFW.I must lead this off though by saying negotiating with new home builders in DFW is a learned skill and you as a buyer are best served having representation of a realtor who can help you organize and present your position in the best possible way to ensure you get as much as you can.

    In the past I have worked with several buyers who said to me, “I am only asking for a $10,000 discount I don’t understand why the builder is saying No!”In each of the cases I can recall, there was more to it, such as included options, appliances, a waived or discounted home site premium, or the item that most often comes to mind included closing costs.You have to remember that if the builder is including something extra in the home or giving promotion it will diminish your room for additional negotiations.In the above instances the builder’s incentive is really a pre-negotiation with you.They have offered an incentive to entice you to move forward and factored the cost in to their financial margin of profit.If you think about it in this way, then the client did not just ask for a $10,000 discount it was actually much greater.New home builders in DFW are almost always offering a promotion or incentive of some kind to encourage you to buy now.To negotiate properly you need to know the cost of the incentive or promotion.

    When you are negotiating with new home builders in DFW you might want to keep in mind that the $5,000 incentive is not quite $5,000 the way you equate it in your own mind.If you have been talking to builders already and have looked at their option page, you may have noticed that the prices seem a bit higher than they do at the big box DIY center down the street.There are a number of reasons for this but in the sake of brevity we will call this overhead costs that the builder pays and passes along to the buyer.So, if you are negotiating for options it is important that you adjust your expectations of what you will be able to get or adjust the negotiated amount.

    There is one area that you as a buyer will have the most challenging time negotiating, and why it is not entirely a bad thing.I have 2 words for you “base price.” This “price” number is meant to evoke a sense of the bottom or the beginning, meaning from here things only go up.Many New home builders in DFW have a policy of not selling homes for less than base price.There are several reasons that builders will limit negotiations below base price including eroding profit margins, appearance of declining value in the neighborhood, and actually reducing appraisal values of future homes to name a few.Here is an area to choose carefully.Your goal in negotiation is to get the best deal possible,just remember that the best deal today is not a good deal if it costs you later….

    I hope you have enjoyed new home builders in DFW and found the information informative. In the next post I will be talking more about the contract. If you have any comments on the material or questions please do not hesitate to contact me directly 817-729-4281 or john@dfwfamilyrealty.com.

    Check out some of my previous blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home

  • Looking at Model Homes

    Posted Under: Home Buying in 76148, Property Q&A in 76148, Moving in 76148  |  August 28, 2012 3:26 PM  |  265 views  |  1 comment

    Models and home site demonstration

    Do you trust what you see or do you see what you want. Look at the details when looking at new homes do not skim over it because you think it looks pretty. Most new home builders in DFW build good homes, but you need to look closely at the details before you buy.

    Picking a home in 15 minutes or less

    When I worked for new home builders in DFW I was amazed that some people would come in breeze through a model in 15 minutes and say yep, this is where I want to live and this is what I want. I was always a little shocked. Buying a home for most people is the largest single financial investment they will ever make. I am analytical, sometimes overly so, and buying a home without studying the details seems like a recipe for disaster. This is where new home builders in DFW will help you out. Every builder wants their on-site staff to demonstrate the model or inventory home and this gives you a great chance to study the home and ask questions. I am specifically talking about what comes standard in this home. A model or inventory home may include $1,000’s of upgrades that you may not be planning on paying for above the sales price. Asking the sales person to walk you through and explain what comes standard can save you a lot of frustration. If you find yourself to be less trusting of sales people, ask the sales person to give you a standard features sheet, then to show you what comes standard, you won’t offend them. The point in this is you need to take the time to see what you get when you buy.

    Looking for what’s wrong with this picture…

    When you are walking the model or inventory home and you see something that does not look right point it out! Every new home builder in DFW should have a very specific and easy to understand process for addressing any concerns that you might have during construction or after closing. Importantly every person who interacts with a customer should know the process forwards and backwards. If they don’t know the process or can’t explain it simply, beware!

    There is a lot to a lot

    New Home Builders in DFW have a lot of lots to choose from and you need to make time to look at where your home will be built and how it will sit before you buy. Spend time walking the land have the sales person explain how the home will be placed, where the fence will go, how big the back yard will be, look at the driveway and particularly the slope. Come out to the land at different times of day and see where the sun rises and sets, what you can hear when you stand there. Also, be aware of how water drains around the home, this makes a huge difference in how usable yard space may be. Importantly find out what will be built around your home. A shopping center right behind your new home may hurt resale so you need to know and ask an expert like a REALTOR if you think you may sell the home some day!

    I hope you have enjoyed new home builders in DFW and found the information informative. In the next post I will be talking more about the process of negotiating. If you have any comments on the material or questions please do not hesitate to contact me directly 817-729-4281 or john@dfwfamilyrealty.com.

    Check out some of my previous blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home

  • New Home Builders in DFW, Part 8

    Posted Under: Home Buying in 76148, Property Q&A in 76148, Moving in 76148  |  August 15, 2012 9:41 AM  |  206 views  |  No comments

    New Home Builders in DFW, Tip #8
    Who, What, When, Where, Why, and How are all questions that you will be asked in one form or another when you visit new home builders in DFW.  Take some time to think these questions out before you visit with a new home builder in DFW.

    Last week we talked about the greeting and rapport building parts of the sales process, specifically when you meet with new home builders in DFW.  Today we are getting to the nitty-gritty and talking about You! You have a lot to consider when you are looking to buy your new home, and you answer many, many questions in your own mind long before you walk through the doors of new home builders in DFW but some you may not yet have considered.  Take a minute or and let’s look at some questions:

    *Who will be living in the home with you?

    *Who will be involved in the decision making process?

    *Who is the primary decision maker?

     

    *What are you must have requirements for your new home? These are the deal breakers and if you can’t get them you do not want to buy this home i.e. bedrooms, baths, media, game, two story? Granite

    *What are your wants for your new home?  These are negotiable items that you want but could trade for price or if enough other things about the home make sense to you.  i.e. a specific paint color for your master bedroom. For some people these may be items such as granite.

    *What is the single most important thing to you about your new home?

    *What problem will this new home solve for you?

    *What price or payment range are you most comfortable with?

    *What will make you feel like you have won when you are working with new home builders in DFW?

     

    *When do you want to move into your new home?

    *When would you be comfortable making a purchase decision?

    *When do you think the best time to move is?

    *When can you get all the decision makers together to talk about your new home?

     

    *Where are you living now?

    *Where do you see yourself in 5, 10, or even 15 years from now?  

    *Where do you want your home to sit in the neighborhood?

     

    *Why are you looking to move?

    *Why do you want to live in this area?

    *Why are you considering _______ as a home builder?

     

    *How are you going to purchase this home?

    *How do you live in a home?

     

    These are a few of the questions that you will be asked by new home builders in DFW.  Most importantly these are great questions to ask yourself during this process.  Let me know what other questions are important to you.

     

     

    I hope you have enjoyed new home builders in DFW and found the information informative. In the next post I will be talking more about the process of demonstrating models and home sites. If you have any comments on the material or questions please do not hesitate to contact me directly 817-729-4281 or john@dfwfamilyrealty.com.

    Check out some of my previous blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home

     

  • More Free Family Fun in Northeast Tarrant County

    Posted Under: General Area in 76148, Quality of Life in 76148, Entertainment & Nightlife in 76148  |  August 7, 2012 8:15 AM  |  902 views  |  No comments

    Join Mayor Betsy Price for a Children’s Bike Ride this Saturday at the North Park YMCA

    Saturday August 11th, 2012 at 9:00AM

    · The Ride will be less than two miles long. Any child or teen who can cycle or ride with a parent is encouraged to join. Training wheels are welcome!

    · All children must wear a helmet and be accompanied by an adult. A limited number of helmets are available for those who do not have one. Remember your sunscreen

    · Water and snacks will be available for riders.

    · Before the ride, Mayor Betsy Price and the Fort Worth Police Department will give a short presentation on bike safety

    For more information, contact Keome Rowe 817-392-6121 or Keome.Rowe@fortworth texas.gov

    www.FortWorthTexas.gov/tourdefortworth

    If you have any comments on the material or questions please do not hesitate to contact me directly 817-729-4281 or john@dfwfamilyrealty.com.

    Check out some of my other Blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home

  • Great News about Home Prices

    Posted Under: Home Buying in 76148, Home Selling in 76148, Property Q&A in 76148  |  August 6, 2012 9:52 AM  |  258 views  |  No comments

    Home Prices Continue to Rise

    Posted By susanne On August 1, 2012 @ 4:00 pm In Business Development,Business Outlook,Consumer News and Advice,Finance and Economy,Home Owner News,Real Estate News,Real Estate Trends,Today's Marketplace,Today's Top Story,Today's Top Story - Consumer |

    [1]Data through May 2012, released by S&P Dow Jones Indices for its S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, showed that average home prices increased by 2.2 percent in May over April for both the 10- and 20-City Composites.

    With May’s data, we found that home prices fell annually by 1.0 percent for the 10-City Composite and by 0.7 percent for the 20-City Composite versus May 2011. Both Composites and 17 of the 20 MSAs saw increases in annual returns in May compared to April. Boston, Charlotte and Detroit were the three cities that saw their annual returns worsen in May, with annual rates of -0.1 percent, +0.9 percent and +0.6 percent, respectively. Atlanta continues to be the only city posting a double-digit negative annual return with -14.5 percent. However, this is an improvement over the -17.0 percent annual decline recorded in April 2012. All 20 cities and both Composites posted positive monthly returns. No cities posted new lows in May 2012.

    In May 2012, both Composites were up by 2.2 percent month-over-month, and posted annual returns of -1.0 percent and -0.7 percent, respectively.

    “With May’s data, we saw a continuing trend of rising home prices for the spring,” says David M. Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices. “On a monthly basis, all 20 cities and both Composites posted positive returns and 17 of those cities saw those rates of change increase compared to what was observed for April. Seventeen of the 20 cities and both Composites also saw improved annual rates of return. We have observed two consecutive months of increasing home prices and overall improvements in monthly and annual returns; however, we need to remember that spring and early summer are seasonally strong buying months so this trend must continue throughout the summer and into the fall.

    “The 10- and 20-City Composites were each up 2.2 percent for the month and recorded respective annual rates of decline of 1.0 percent and 0.7 percent, compared to May 2011. While still negative, these annual changes are the best we’ve since in at least 18 months.

    “Taking a closer look at the cities, Phoenix again posted the best annual return. Average home prices in that region were up 11.5 percent versus May 2011. It was one of the hardest hit cities in the collapse, and prices are still more than 50 percent below their June 2006 peak, but the past five months have been positive for that market. Miami and Tampa are two other Sunbelt cities that were hard-hit in the downturn, but are now showing positive annual rates of change. Boston, Charlotte and Detroit, on the other hand, saw their annual rates of return deteriorate compared to April, even though prices rose over the month of May. Las Vegas posted both a positive monthly change in May and saw an improvement in its annual return; that said, the market is still more than 60 percent below it August 2006 peak.

    “June data for existing home sales, new home sales, housing starts and mortgage default rates were a bit mixed, but all are better than their year-ago levels. The housing market seems to be stabilizing, but we are definitely in a wait-and-see mode for the next few months.”

    As of May 2012, average home prices across the United States are back to the levels where they were in spring 2003 for the 20-City Composite and to summer 2003 levels for the 10-City Composite. Measured from their June/July 2006 peaks through May 2012, the decline for both Composites is approximately 33 percent. The 10-City Composite recently reached its low in the current housing cycle in March 2012 and the 20-City in February 2012; at that time both Composites were down approximately 35 percent from their summer 2006 peaks.

    In May 2012, we observed all 20 MSAs and both Composites posting positive monthly returns. Atlanta, again, was the only city to post a double-digit negative annual rate of return of 14.5 percent; however it saw improvements in both monthly and annual rates versus what was published for April. Phoenix posted the highest annual rate of growth amongst all 20 cities at +11.5 percent, an improvement over the +8.6 percent annual return recorded in April. Chicago fared the best in terms of monthly returns with a 4.5 percent increase in home prices as compared to April. Atlanta, Cleveland, Detroit and Las Vegas continue to have average home prices below their January 2000 levels.

    For more information, visit www.homeprice.standardandpoors.com [2].

    If you are looking to buy or sell a home in the Dallas/Fort Worth Metroplex, or have questions please contact me directly at 817-729-4281 or john@dfwfamilyrealty.com.


    John Straub

    Keller Williams Realty

    817-729-4281

    john@dfwfamilyrealty.com


    www.dfwfamilyrealty.info

    Check out some of my previous blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home


  • New Home Builders in DFW, Part 7

    Posted Under: Home Buying in 76148, Property Q&A in 76148, Moving in 76148  |  August 6, 2012 9:11 AM  |  202 views  |  No comments

    New Home Builders in DFW, Tip #7
    Knowing the process that new home builders in DFW take you through when you visit the sales office makes the process easier and more understandable to you.

    New home builder’s in DFW use the critical path selling method almost exclusively. The sections of this process are greeting, building rapport, qualifying, demonstrating, siting, handling objections, and closing. While almost every new home builder in DFW has their own tweaks to the process it remains largely intact. Since there is a good bit to this process we will cover it over several articles. When you visit New home builders in DFW see if you can recognize the pattern.

    The first two sections of the critical path; greeting and building rapport are just as important to you as the buyer as they are to new home builders in DFW. The sales person should be out to greet you within one minute of walking into a model home. They should welcome you to the community, provide you their name and ask you for yours. While this is obviously important for the builder this is critical to you as a buyer as well. Remember that first impressions count! If the sales representative is too busy to greet you, will he or she be too busy to answer your questions later? While there may be times where they cannot greet you in a timely fashion, the sales person has an obligation to welcome you warmly and fully.

    Building rapport is the second step in the critical path for sales and it should be quick and timely. This is a brief opportunity for the sales person and you to make polite small talk before you begin the process of explaining what you are looking for in a home. The key is that it should be quick and timely. This process should not drag on for ten minutes. At this stage the sales person is hoping that they can learn a little bit about you and put you at ease that they are not out to force you to buy a home right now. At this stage you are deciding, “Do I like and trust this sales person, Do they relate to me, Are they listening to me, or Are they thinking about what to say next?”
    I hope you have enjoyed new home builders in DFW and found the information informative. In the next post I will be talking more about the process when you enter the sales office. If you have any comments on the material or questions please do not hesitate to contact me directly 817-729-4281 or john@dfwfamilyrealty.com.

    Check out some of my previous blogs:

    New Home Builders in DFW Information to help you get the best deal working with a new home builder

    Cinemark Alliance Town Center Details about this great new theater

    Home Buying "A Short Course" Basic information on the process of buying a home

  • Meet the New Keller ISD Superintendent August 2nd

    Posted Under: General Area in 76148, Schools in 76148, Home Buying in 76148  |  July 30, 2012 7:21 AM  |  460 views  |  No comments

    Courtesy of Keller ISD

    Keller ISD's community will have an opportunity to meet Dr. Randy Reid, lone finalist for the KISD Superintendent position, at a Meet and Greet Event on Thursday, August 2, 2012.

    The event is scheduled for 5-6:30 p.m. at the Keller ISD Education Center Boardroom, The Rock Gym, and is pending the Board of Trustees' approval of Dr. Reid's hiring at a Special Meeting on July 26.  The Keller ISD Education Foundation is sponsoring the event.

    On July 2, the Board named Dr. Reid the lone finalist for KISD Superintendent at a Special Meeting.  The state requires a 21-day waiting period after being named the lone finalist before a district can make a superintendent hire.

    The August 2 Meet and Greet is free and open to the public.

    Press release courtesy of Keller ISD

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